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The State Budget and Public Education

30.5. The State Budget and Public Education. The State Budget. State funding helps keep tuitions low at public colleges. As a result, more Texans can afford college. For the years 2000 and 2001, the Texas budget gave more than $12 billion to higher education. The State Budget.

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The State Budget and Public Education

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  1. 30.5 The State Budget and Public Education

  2. The State Budget • State funding helps keep tuitions low at public colleges. As a result, more Texans can afford college. • For the years 2000 and 2001, the Texas budget gave more than $12 billion to higher education.

  3. The State Budget • The Texas state government requires billions of dollars to function. • The cost of government 2000 and 2001 totaled $98 billion. • The state budget specifies how much of this money will go to different parts of the government

  4. The State Budget • Texas uses a biennial ,or two year budget. • Every two years all state agencies and offices prepare their funding requests. • These requests go to two state agencies: • One is the Office of Budget and Planning, which is part of the executive branch. • The other and more powerful agency is the Legislative Budget Board. • It includes 9 senior legislators and the lieutenant governor, who chairs the board.

  5. The State Budget • The two agencies analyze funding requests and send a budget proposal to the Senate Finance Committee and to the House Appropriations Committee. • The two committees study the proposals independently, and each recommends a budget to its house. • Each house then prepares an appropriations bill. • This spending bill is the state budget. • Both houses must then pass a final version of the bill.

  6. The State Budget • The budget bill then goes to the Texas comptroller of public accounts. • This official determines whether the state will receive enough revenue, or income, to cover the budget. • The Texas Constitution requires a balanced budget – that is one in which spending does not exceed income. • Once the comptroller approves the budget bill, it goes to the governor to be signed. Susan Combs, Texas State Comptroller of Public Accounts

  7. Revenue and Spending • The Texas state government obtains the billions of dollars it needs from several sources. • In 2000 the sales tax made up about 55% of the state’s tax revenue. • The sales tax gives the state a small percentage of the price of many goods and services. • This tax is taken at the time of sale.

  8. Revenue and Spending • Three other important contributed about 15% of the state’s income. • Motor fuels tax and the vehicle sales tax and the rental tax each raised more than $2.6 billion in 2000. • The franchise tax, which applies to corporations based in Texas, raised some $2 billion.

  9. Revenue and Spending • Much of the rest of the state’s income comes from federal grants. • In 2000 Texans received almost $15 billion from the federal government. • Other sources of revenue include investments, license fees, and lottery fees.

  10. Revenue and Spending • State funds are used to build highways, pay state employees, and provide many other public services. • The two areas that receive the most state money are health and human services and education. • Health and human services help Texans in need with medical treatment and other services .

  11. Texas Public Education • Article VII of the Texas Constitution requires the legislature to maintain an “efficient system of public free schools”. • Some 4 million students attend Texas public schools. • State and local government contribute the most financial support to schools. • The state provides money through the Permanent School Fund. This fund receives money from state taxes and investments. • Local property taxes contribute heavily to school funding • The federal government also provides some funds. • Much of this money funds specialized programs such as job training.

  12. Texas Public Education • The administration of Texas public schools is divided between state and local governments. • Although its role in public education is limited, the federal government can occasionally get involved. • For example, in the mid-1950’s, the federal courts ordered all public schools to integrate and in 2001, No Child Left Behind passed.

  13. Texas Public Education • At the state level, the Texas legislature passes the laws governing public schools including the subjects they teach. • Two state agencies assist the legislature with these matters. • The Texas Board of Education sets education policy and reviews textbooks for use in schools. This board has 15 elected members.

  14. Texas Public Education • The Texas Education Agency puts education policy into effect. • This agency reviews standards for learning materials, schools and teacher certification. • The governor appoints a commissioner of education to direct this agency.

  15. Texas Public Education • More than 1,000 independent school districts run schools at the local level. • Boards of trustees or school boards govern those districts. • School boards arrange for school construction, select textbooks, and set property tax rates. • They also hire superintendants to run the day-to-day business of the school district.

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